The eurosceptic backlash spreads to the cabinet

Duncan Smith raises concerns over failure of Cameron's "veto".

I wrote this morning that to maintain momentum, the latest Tory revolt over Europe needed a frontbencher, most likely Iain Duncan Smith or Owen Paterson, to speak out. Since then, it's emerged that both of them did just that at today's cabinet meeting. According to the Prime Minister's official spokesman, Duncan Smith raised legal concerns over the use of EU institutions by the EU 25, while Paterson asked about trade and "more generally about the debate on the eurozone".

It's not hard to see why Duncan Smith, in particular, is troubled by Cameron's willingness to allow the eurozone countries to use EU-wide institutions to enforce their new "fiscal compact". Just look at what he told Andrew Marr on Sunday:

ANDREW MARR:

And didn't want the EU structures to be part of this, but we've now ...

IAIN DUNCAN SMITH:

(over) Well he's vetoed, but he's vetoed.

ANDREW MARR:

(over) ... it now looks as if the EU structures are going to be part of it.

IAIN DUNCAN SMITH:

I wouldn't let speculation go too far. The fact is the Prime Minister vetoed them using the institutions, and he's always said that veto was because we had no guarantees that what they were proposing would not damage the single market or, for that matter, would actually cause problems to the financial sector. And we don't know what they're coming forward with yet. They still haven't completed their treaty and they aren't anywhere near signing it, and we don't know that everybody will go down that road with them. So best to wait until we get there to figure out what it is that they're actually coming forward with.

But the truth, as IDS will now be painfully aware, is that Cameron's "veto" didn't prevent the EU 25 from using the European Commission and the European Court of Justice to police the new treaty. Nick Clegg, meanwhile, having previously described Cameron's actions as "bad for Britain", reportedly "agreed" with his approach at yesterday's summit.

With the cabinet's leading europhile in agreement and its leading eurosceptic in dissent, Tory MPs will only feel empowered to continue their rebellion.